893.102S/1807: Telegram
The Chargé in Japan (Dooman) to the Secretary of State
[Received May 19—8 a.m.]
237. 1. The British Ambassador is recommending to London that the British Government consult with the American Government with a view to agreeing on the taking of ad hoeing action (for example, embargo on specified imports or exports) in the event of the Japanese military taking forcible action against the International Settlement at Shanghai. It is Craigie’s thought that if some plan can be agreed upon, “it would have an excellent deterrent effect if my United States colleague and I were authorized, at our discretion, to give Minister for Foreign Affairs some hint of what would be likely to happen if Japanese Government were to allow their local military authorities to get out of hand”.
2. Replying yesterday to Craigie’s invitation to support the proposed action, Mr. Grew said that he could not for several reasons recommend it to his Government. He pointed out that the present discussion in Congress of neutrality legislation has become a matter of prime political importance; that retaliatory embargoes would require consideration from many points of view and not alone that of policy in the Far East; and that as the Japanese Government has given assurances that there will be no forcible action against the Settlement to “hint” at retaliatory action before anything has happened in contravention of these assurances would inevitably be taken as a threat. Mr. Grew added as his opinion that such action as the United States might take would have to be based on actual developments rather that [than] on the anticipation of such developments. I concur.
Repeated to Shanghai.